On 13 August 2019, the Shanghai Municipal People’s Government published the Several Opinions on Boosting the Development of Regional Headquarters of Multinational Corporations in Shanghai (Hu Fu Gui  No. 30). The Opinions are aimed at further increasing the degree of Shanghai’s opening-up, at enhancing the level and quality of foreign resources, and at further attracting multinational corporations to establish regional headquarters in Shanghai.
The document outlines a list of 30 Opinions under 6 main themes that will become effective from 1 September 2019 (until 31 August 2024):
- Further expand the support to MNCs for establishing regional headquarters in Shanghai: including relaxing the capital-related threshold for the parent company for being recognised as MNC regional headquarter (to 100 billion USD); removing the restrictions in terms of number of affiliates established by the parent company in China, and in terms of nature of the headquarter as sole proprietorship (WFOE, wholly foreign-owned enterprise);
- Further facilitate the investments of MNCs: including relaxing or removing the restrictions for establishing investment companies, in terms of investment value required, paid-in registered capital and number of affiliates established;
- Further facilitate and liberalise the utilisation of funds: 13 specific opinions, including allowing them to conduct centralised operation of cross-border funds through the primary multi-currency account of domestic funds (including CNY, for which international transactions will be encouraged); removing restrictions on the number of primary domestic capital accounts or on the number of cooperative banks for cross-border capital pool business; and allowing them to issue bonds and stocks and to enter Shanghai’s gold-related business;
- Further facilitate trade and logistics: including piloting in Shanghai a mechanism allowing affiliates of the regional headquarters to share their same business license but with multiple business addresses; allowing MNCs with good credit to use tariff bonds for custom clearance, and to self-print export certificates of origin;
- Further facilitate R&D: including adopting a category-based management based on risk assessment for the import and export of experimental materials; lowering the threshold for applying to and obtaining inauguration- and leasing-related subsidies; and strengthening IPR protection and management, including through the optimisation of diversified dispute resolution mechanisms and the inclusion of easily-infrangible trademarks into a dedicated catalogue for special protection.
- Further enhance administrative safeguarding and support: including expanding the support for housing, schooling, medical insurance etc. for foreign personnel of regional headquarters.